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U.S. EPA CONFIRMS ORDER TO CHEVRON'S EL SEGUNDO REFINERY

 SAN FRANCISCO, Oct. 8 /PRNewswire/ -- An administrative order by the U.S. Environmental Protection Agency (U.S. EPA) directing Chevron Corp. (NYSE: CHV) to halt construction at its El Segundo oil refinery will go into effect, as scheduled, at 2 p.m. today. Under federal law, continued work on the construction project could result in criminal as well as civil action against Chevron.
 Discussions between the agency and Chevron this week have not revealed any new information that would provide a legal basis for allowing construction to continue without a permit. Initial talks between Chevron and U.S. EPA on Oct. 1 had resulted in a one-week extension of the effective date of the order.
 The federal Clean Air Act requires review of significant modifications to major industrial sources to assess their impact on air quality before permits are issued and construction can begin. This process ensures that proper pollution controls are built into the project and that the public has an opportunity to comment on proposed changes to the facility.
 While Chevron's project is designed to produce cleaner fuels for the state's automobiles, it still requires appropriate legally required review to assure that impacts on neighboring communities are limited in a verifiable and enforceable manner. U.S. EPA believes that allowing Chevron's unpermitted construction to proceed would set a precedent that could encourage others to begin construction without proper public and environmental review.
 U.S. EPA does not believe that this order will affect the number of jobs at Chevron's reformulated fuel project -- only the timing of the construction. It is the agency's understanding that the South Coast Air Quality Management District (AQMD) expects to issue the appropriate permit within a week.
 U.S. EPA had issued a notice of violation to Chevron on Sept. 22 notifying the company that its construction activities associated with a reformulated gasoline project at the facility were in violation of the Clean Air Act due to Chevron's failure to obtain a permit to construct from the South Coast AQMD. Because Chevron continued construction after receiving the notice of violation, U.S. EPA on Sept. 29 issued an order to stop construction at the facility.
 -0- 10/8/93
 /CONTACT: Bill Glenn of U.S. EPA, 415-744-1589/
 (CHV)


CO: U.S. Environmental Protection Agency; Chevron Corp. ST: California IN: ENV SU: EXE

SG -- SF008 -- 0231 10/08/93 14:33 EDT
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Publication:PR Newswire
Date:Oct 8, 1993
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